Ukraine May Introduce War Tax of 1.5% of the Salary to Fund the ATO - Ministry of Finance

Ukraine may introduce the war tax on personal income in the amount of 1.5% of the salary.

This was announced at a press briefing by Deputy FinanceMinister Volodymyr Matviichuk, Censor.NET reports with reference toUkrainian News.

"We agreed withthe suggestions of the MPs regarding the possibility of introducinga special war tax of 1.5% of the salary," he said. The introductionof such a tax will allow us to accumulate to 2.9 billion hryvniason defense until the end of 2014. The proceeds from the tax will gointo the general fund of the state budget.

He also did notrule out the possibility of reducing the salaries of civilservants.

Earlier FinanceMinister Oleksandr Shlapak said that the budget will have no fundsto pay the ATO participants starting August 1.

In this regard,the government has submitted to the Verkhovna Rada a bill thatprovides for the allocation of UAH 16.9 billion for theanti-terrorist operation and restoration of theDonbas.